The Securities Commission has charged three former executives of Transmile Bhd with giving misleading financial statements :

• ex-chief financial officer Lo Chok Ping,
• ex-executive director Khiudin Mohd and
• founder Gan Boon Aun, who resigned as chief executive officer in June ’07 when a police report is filed.

Earlier Transmile has also filed an announcement dated 29/6/07 pertaining to its audited financial statements for the financial year ended 31/12/06.The content of the announcement is as follows:

The Company wishes to announce that it had today announced its audited financial results for the financial year ended 31 December 2006. In regards to the above, the Company wishes to the highlight the following: (i) the audited financial statements of the Company for the financial year ended 31 December 2006 have included the adjustments which were highlighted in the announcement dated 16 June 2007 (”Adjustments“), comprising both the adjustments arising from the findings by Moores Rowland Risk Management Sdn Bhd (”MRRM“) and additional adjustments proposed by the Company;

(ii) in addition to the Adjustments, the Company has made other adjustments to the assets in the audited consolidated balance sheet as at 31 December 2006, mainly as set out in Table 1 as attached, largely due to:

(a) impairments required to be carried out to the assets of the group under the Financial Reporting Standards issued by the Malaysian Accounting Standards Board;
(b) reclassifications of assets to property, plant and equipment; and
(c) other consequential adjustments arising therefrom;

(iii) The consolidated loss after taxation of TGB for the financial year ended 31 December 2006 was RM126 million; and

(iv) As a result of the above, the shareholders’ funds of TGB as at 31 December 2006 was RM597 million, comprising share capital of RM264 million and reserves of RM333 million.

Please refer to the announcement made by the Company today for the audited consolidated results of the Company for the financial year ended 31 December 2006.

TABLE 1 

		Adjustments as announced on 16 June 2007
Assets	Announced on 15 February 2007	MRRM adjustments	Additional adjustments on 16 June 2007	Additional adjustments on 29 June 2007	Audited as at 31 December 2006
	RM mil	RM mil	RM mil	RM mil	RM mil
Property, plant and equipment	1,548	(379)	(7)	(187)	975
Investment in associated company	14	-	(12)	-	2
Work in progress	36	-	-	(36)	-
Trade receivables	381	(234)	(11)	(2)	133*
Other receivables	85	-	-	(58)	27

* Difference due to rounding.